XAT 2017 Question 1
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XAT
The first paragraph highlights the inflation conditions prevalent in the country. In the second paragraph, the author states that the inflation is a concern for the RBI too since it will have to explain if the inflation exceeds 11%. Therefore, we can infer that RBI is responsible for keeping the inflation in check. The rise in inflation hints that the RBI is inefficient in handling the issue.
The first paragraph talks about inflation and the second paragraph talks about RBI's inefficiency in handling the same. Therefore,
option D is the right answer.